Delhi's Excise Policy: A Revenue Stream in Limbo

With the BJP at the helm, Delhi's excise policy may remain unchanged for 2025-26, as a new policy is yet to be drafted. The government encourages liquor stores to prepare for summer demand, aiming to boost its excise revenue target.

The BJP-dominated Delhi government appears set to continue its existing excise policy into the financial year 2025-26, as confirmed by officials aware of the matter. The lack of a newly formulated policy necessitates this extension, which retains policies from the previous year. Rekha Gupta, the newly appointed Chief Minister and holder of the excise portfolio, faces the task of navigating a significant revenue channel for the state amid political shifts.

The four city government corporations responsible for the retail sale of liquor—including the Delhi Tourism and Transportation Development Corporation and the Delhi State Civil Supplies Corporation—are gearing up for increased summer demand. They have been instructed to stock up on various liquor brands to prevent inconsistency and influence over brand availability.

For the fiscal year 2024-25, the Delhi government aimed to accrue Rs 6,400 crore in excise revenue, amassing Rs 4,233 crore in just the first three quarters. With summer approaching, the excise department has also mandated better storage facilities for beer to maintain proper quality and availability.

(With inputs from agencies.)